Biz scene

MARKET

Listing plan approved

Panzhihua Steel (Group) Co Ltd announced the State Council had approved its group-listing plan, and the company is planning a board meeting to submit the proposal to the China Securities Regulatory Commission.

The company unveiled its detailed listing plan last November.

This year, it would invest 6 billion yuan in technological innovation and business expansion in the steel and vanadium sectors. And during China's 11th Five-Year Plan period (2006-10), it would inject 4 billion yuan into environmentally friendly projects to improve asset quality.

Asset bids won

Three Chinese asset management companies - Great Wall, Orient and Cinda - have won bids for about 14 billion yuan in non-performing assets from China Everbright Bank, hastening the bank's domestic IPO process, expected to be launched before the Beijing Olympics in August.

Great Wall, Orient and Cinda respectively bid for 10, seven and eight asset packages from the bank, respectively priced at totals of 521 million yuan, 415 million yuan and 706 million yuan.

The bidding initiative lowered the bank's non-performing asset ratio and is a significant component of Everbright's corporate reform.

Capital injection

Hutchison Whampoa Ltd, a multi-industry company, said its mainland detergent-making joint venture's plan to inject an additional 1 billion yuan of capital into the company was approved by the Ministry of Commerce.

The conglomerate also said JV, Shanghai Hutchison WhiteCat Ltd would spend more than 3 billion yuan to market its WhiteCat brand of detergent products over the next few years.

Hutchison Whampoa (China) acquired an 80 percent stake in Shanghai WhiteCat in 2006.

BIZ UNUSUAL

Spousal training

China's wedding companies are cashing in on the trend of pre-marital training for brides and bridegrooms.

The training usually lasts eight or 10 hours, during which time couples learn the ins and outs of the ceremony and managing married life afterward.

The concept originated in the West but has been gaining popularity in China over the past five years.

Strange trend brewing

A growing number of Chinese coffee shops are taking cues from Japanese cafs, using cartoon images, games and maids to create their appeal.

Visitors are greeted by smiling women "servants", clad in traditional European attire, who respectfully address guests as "masters".

Gaming machines, cartoon images and cartoon-oriented gadgets abound in these establishments.

LOCAL

Financing scheme

The scale of non-governmental financing in Liaoning province reached 48.8 billion yuan in 2007, up from 43.4 billion yuan in the previous year.

Of the 48.8 billion yuan, about 24.4 billion yuan went to local enterprises in Liaoning and the other half to individuals. The majority of the funds came from individual lenders.

Fund-raising plan

Hebei province plans to assist local companies by raising funds worth 10 to 15 billion yuan in 2008, the Hebei bureau of the China Securities Regulatory Commission said.

"Despite its economic position, Hebei has been lagging behind in the capital market, so we will shift our focus to sharpen our competitive edge in the sector," bureau head Guo Runwei said.

The province would adopt preferential policies to increase the number of IPOs, while providing training courses for potential candidates.

BIZ MOVE

CEO takes carrots

Former president of Shanda Interactive Entertainment Ltd Tang Jun became president and CEO of New Huadu Industrial Group Co Ltd.

The Fujian province-based private company's main businesses are retailing, real estate and mining. To lure Tang to the group, New Huadu paid him transition fees worth as much as 1 billion yuan. Tang said he would push forward the IPO process of the firm's retailing and mining businesses by leveraging his management experience.

(China Daily 04/16/2008 page15)